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Jun 2, 20236 min read

HOW TO MAKE AN ONGOING SOLVENT COMPANY INSOLVENT: DECEPTIVE AUDITING (?) OF THE DHFL

Posted on 02/o6/2023 (GMT 14.20 hrs)

Updated on 08/06/2023 (GMT 15:40 hrs)

“If Wittgenstein is to be believed, mathematics is a practice, performance of a community. For Wittgenstein, communalism of mathematics is determined by the communities’ convenience and necessity.  In case of Economics, I can write “3 goats= 1 cow or “one apartment= $ 200000” by adding some sufficient causes. How do I put the sign= in between two unequal things? Questioning the equalizing effect of a sign as a dangerous supplement, a properly signed signifier called money, is prohibited within economics’ truth-room. I am representing  the presentations of  a priori, though it is neither  analytical a priori, nor the synthetic one, but something called historical a priori—an a priori approximated  by the historical incidences and they  get epistemic status within a ghetto of a TR.  I had then switched  over to some problems of ordinary language, the problem of fuzzy numerals in Bangla, which, from Logical Positivist perspective, is illogical.” “Little Boxes: (Il)logic(s) of Truth-Room(s)” VIEW HERE ⤡


If anyone look into the audit books of the DHFL, they would be surprised to know that the DHFL is an ongoing concern and and a solvent company. We are citing different opinions on the audit of the DHFL, collected from different web platforms:

Opinion-1:

According to the DHFL-COC RP, the overall distribution of the assets, bidding price, profits and gains are as follows (as calculated by Mr. Ashok Khemka, IAS, in his Tweet⤡, 16/01/2021):



DHFL resolution as I understand. A rock solid case for RBI to intervene and take control. pic.twitter.com/xQtA2lBLkK — Ashok Khemka (@AshokKhemka_IAS) January 16, 2021

The total auditing report is way too opaque.

Opinion -2:

“If 91000cr home loan is lent @ 13% (avg), what will be yearly EMI collected?

It is 11830cr which is 985cr per month.

In last 1.5 years since November, 2019, DHFL EMI collected so far is 16000cr/18months which means 888cr per month.

Shortage is 985 – 888= 96cr

NPA/siphoned money can be calculated reversely from shortfall in EMI amount assuming the same average 13% = 96cr*12months=1152cr*100/13= 8861cr

So 91000 – 8861cr = 82138cr is the actual present value of DHFL.

Collected EMI speaks itself for the actual value of DHFL..

It is definitely not 36000cr!!!

Liquidation value stands at 47000cr!!

8861cr is missing in books.

Which should likely be the siphoned money using Bandra books.

Surprisingly Wadhawan is saying he will pay this 9000cr upfront as cash to retail and pay all others with 100% by running the company as it is generating income from EMI today and pay back 100% to banks, NCD, MFs , institutional investors etc in next 6 to 7 years..

Logically it is achievable.”

Opinion-3:

“I would like to share with you that prior to finalization of DHFL resolution plan, I had seen a video in which it was told that Piramal’ s offer does not include the RECOVERY amount (which will be recovered from Wadhwan Brothers in future by seizing their assets) for distribution to FD holders and will straight away owned by Piramal group which means Piramal have purchased Rs. 94000 Cr. DHFL Property just by paying 34000 Cr LESS –>RECOVERY AMOUNT (MAY BE Rs. 30000 Cr = ONLY Rs. 4000 CRORES. All this proves that CoC members including Ms. Charu Sandeep Desai have also manipulated the deal and CHEATED ALL OF US FOR EARNING THEIR SHARE IN NET PROFIT OF Rs. 90000 CRORES.”

Opinion-4:

“Total amount of FD is around 5300 crores and amount of retail fd holders is around 2200 crores and the remaining are institutions,1800 crores of pf money of UPPSL will be paid by govt of Uttar Pradesh, SLR maintained with NHB is around 1300 crores plus just 1000 crores is required to pay retail FD-holders in full the accrued interest after 3rd December, 2019.”

Opinion-5:

“In the Bombay High Court has proved the DHFL is solvent. So, the Bombay High Court allowed for paying 800cr per month for securitization. ⤡

In the NCLT, the RBI is trying to prove it is insolvent. ⤡ ⤡

It is the highest level of contradiction.

Amidst this, the company is swiftly running its business (as evident from the above box, too), i.e., it is very much a solvent ongoing concern as they are lending 500cr per month for home loans and they are also earning from their previous loans.

DHFL only needs slight restructuring, not haircuts for all public depositors.

The Banks have additional tools to recover the dues; whereas we, the public depositors and NCD holders, have no such avenue. Thus it is a double advantage to the Piramal Enterprises. They will take their pound of flesh from the RP. Clearly it is a very sinister move on the part of the RBI.

Government should not deliberately sell DHFL to the Piramal Enterprises. It can appoint a committee of experienced retired bankers (not like the present RBI-appointed DHFL Administrator) and let the DHFL run after slightly restructuring it so that all classes of creditors and lenders get back their 100% principle amount with interest. Though we are not interested in the choice of the owner for this ongoing solvent company, we only wish to get back our hard-earned public money in full along with due compensation for infringing our fundamental human rights due to financial abuse.”

All the above opinions, if believed to be true, prove that the DHFL is a ongoing concern and it is handed over to Mr. Ajay Piramal in pre-determined way in a throw way prices by imposing huge haircut on the creditors and investors as it is expected in the context of crony and monopoly capitalist⤡ plutocratic regime [cf. India Is No Longer a Democracy but an ‘Electoral Autocracy’: Swedish Institute ⤡ (As reported on 11th March 2021, © The Wire), The Freedom House also dropped India from the list of “Free Countries” in its annual report entitled “Democracy under Siege” VIEW HERE ⤡. India is now only ‘partly free’ under Modi, says report ⤡ (As reported on 3rd March, 2021 © BBC News)].

The selling of the DHFL to a non-listed company, viz., Piramal Capital & Housing Finance, by reverse-merger is the suspicious one. The ruling party’s partial efforts for selling the ongoing company at a throw-away price (at 75% discount)—or as a free gift to the father of the damaad of a favoured business tycoon. We are using the word damaad instead of son-in-law by taking cue from our Hon. Madam FM, when she was targeting Mrs. Sonia Gandhi’s son-in-law: ‘Not working for damaads‘: FM Nirmala Sitharaman fires back at Congress over ‘crony capitalists’ jibe⤡ ( as reported on Feb 12, 2021 ©Times Now.news.com)

In response to such usage of regarding kinship term, we cannot but help to remember the beginning of ostentatious display of Ambani-Piramal family-bond.

Opinion-6

A. RS. 8994.54 Lakh worth Fresh LOAN distributed in just 2 months (during Feb21 Rs.3230.22 Lakh & during March 21 Rs. 5764.32 Lakh).

B. Collection/Recovery from borrowers-

Total Rs. 10640.08 crores as detailed below:

February 20. Rs.1457 crores

September 20. Rs. 1195.07 crores

October 20 Rs.1218.23 crores

November 20 Rs. 1267.95 crores

December 20 Rs. 1327.94 crores

January 21 Rs. 1334.59 crores

February 21 Rs. 1438.28 crores

March 21 Rs. 1401.02 crores

On one hand, they have stopped repayments to FD holders showing reasons of INSOLVENCY (as if DHFL is DEAD) & on other hand they are continuing their business WHICH IS TOTALLY UNJUSTIFIED.

During current pandemic Covid19 scenario when situation is worsening day after day and badly effecting lower/middle class people including senior citizens like me, all sources of income is totally STOPPED and there is huge increase in medical expenses (victimized by hospitals through straight away looting by hospitals, house hold essential items viz. Groceries etc.)

21-07-2021

Opinion-7

The cat is out of the bag, when Moneylife has briefly summarized the discrepancies of the whole audit:

See also:

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